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The Benefits of Using a Loan Officer for Your Mortgage

Read Time: 4 Minutes March 01, 2021

The perfect home is one that is comfortable during all four seasons. It will become your special place where you will put your signature on the warm spaces within. Your loan officer will not only help you get there, but the bonds that you build are likely to last a lifetime. 

Woman talking on cell phone

What is a Loan Officer?

As James Taylor famously reminds us in his hit song written by Carole King, “Now, ain’t it good to know that you got a friend?”

If you have ever experienced a complex financial process, then you certainly understand that it would indeed have been helpful to have a friend or reliable support system to help through the process. Having a single point of contact to help you through some very important steps of the mortgage financing process – one of the largest financial transactions of one’s lifetime - is just one of the many benefits of working with a loan officer.  A loan officer has an important job since they will be your primary contact throughout the mortgage application process.

Loan Officer Qualifications

At mortgage companies, licensed Loan Officers (“LO’s” or “MLO’s”) receive extensive training and must pass both a national and state exam, ensuring they have knowledge in the business as well as consumer protection laws. They will also be reviewing your personal financial information, so it is great to know that you are working with someone that is knowledgeable and trustworthy. In fact, the Nationwide Mortgage Licensing System (NMLS) allows borrowers to check on the licensing and registration information of individual MLO’s.

Given this level of expertise, a Loan Officer from a direct lender like us can offer a wider breadth of products, guidance on the best loan options, and smoother closings. Their job is to guide you and your loan through the entire origination process. Here are some additional benefits of working with a Loan Officer.

What does a Loan Officer do?

A dedicated Loan Officer will answer questions and act as your point of contact during the loan process and inform you of any updates as they occur. They will gather the necessary documentation during the initial application process and move it to the underwriter. This is the process of determining that you qualify for your mortgage based on your financial situation, and your loan officer will help make sure that your loan moves on to closing.

Having less to worry about during your loan process will allow you to start thinking ahead to the fun stuff like whether you want to paint marine blue or pale blue in your future bedroom, or if you want live plants in the living room or the kitchen. These are important things to consider as you move closer to approval. Fortuitously, your loan officer can also help you find a realtor that is right for you and vice versa. Once you are provided your mortgage preapproval, you can begin to shop for a house with your realtor knowing the exact amount that you are approved for. Having preapproval prior to beginning the search for your potential dream home will ultimately save you lots of time and effort, as well as help prevent potential disappointment.

Responsive Customer Service

According to Merriam-Webster, responsiveness is an adjective that can be defined as “quick to respond” or “react appropriately.” Calling a company and being told that your estimated wait time on hold will be approximately 2.5 hours should not fall under that definition, particularly when you are seeking an update on something important to you. Currently, the number of new mortgage applications remains high, so the responsiveness provided by a dedicated loan officer is of particular importance. Their hard work on your behalf and ongoing focus on customer service can help ensure that your entire mortgage process - from application to closing - moves along as efficiently as possible.

Maintain a Strong Business Relationship

Your business relationship with your loan officer doesn’t need to stop after you receive your approval, especially since you are signing on to make payments for the next fifteen or thirty years. Your needs will likely change over time and eventually, you may want to refinance or even upsize or downsize into a new home. A good loan officer will stay in contact and develop the type of long-term relationship where you are comfortable asking questions about your loan at any time, as well as likely to seek their services again in the future if needed.

The perfect home is one that is comfortable during all four seasons. It will become your special place where you will put your signature on the warm spaces within. Your loan officer will not only help you get there, but the bonds that you build are likely to last a lifetime. Just like the song says, “Winter, spring, summer or fall, all you have to do is call and they’ll be there.”

Learn more in our other educational series.

We’ve assembled a treasure trove of jargon-free information to demystify home-financing and arm you with valuable insights and actionable options.

Why Newrez?

Newrez believes the lending business shouldn't just be about home loans - it should be about homeowners. That's why our employees get to know our customer's real needs, through final closing, and beyond.

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